Economic growth rests with skilled workforce, according to study by World Economic Forum and Deloitte Touche Tohmatsu

April 24, 2012|By Alejandra Cancino, Chicago Tribune reporter

In the U.S., about 600,000 jobs in manufacturing remain unfilled, a situation that is expected to get worse in the next three to five years as older workers retire. Manufacturers in Illinois have developed their own training. (Michael Tercha, Chicago Tribune)

About 10 million manufacturing jobs cannot be filled worldwide because of a shortage of skilled workers, according to a report released Tuesday by the World Economic Forum andDeloitte Touche Tohmatsu Ltd.

"In the race to future prosperity, nothing will matter more than talent," Craig Giffi, co-author of the report, said in a statement. "The skills gap that exists today will not likely close in the near future, which means companies and countries that can attract, develop and retain the highest skilled talent — from scientists, researchers and engineers to technicians and skilled production workers — will come out on top."

As a result of that gap, companies are delaying or abandoning growth plans, hiring overqualified candidates for certain jobs or importing labor, according to the report, "The Future of Manufacturing: Opportunities to Drive Economic Growth." In some countries, labor shortages have led to higher wages and inflation.

The lack of skilled workers is not new. In the U.S., about 600,000 jobs in manufacturing remain unfilled, a situation that is expected to get worse in the next three to five years as older workers retire. Manufacturers in Illinois have developed their own training programs and are partnering with state and local governments, manufacturing associations, high schools and colleges to improve education in science, technology, engineering and mathematics, which are key to landing jobs in today's manufacturing sector.

Emerging nations are trying various methods to overcome their own talent shortages. China, for example, offers special promotions and high-salaried positions to attract graduates of foreign universities, according to the report. (Future growth in manufacturing is expected to take place in the developing world, where 82 percent of the global population lives.)

In addition to the skills gap, countries need to fuel manufacturing growth by providing the infrastructure, investing in workers and encouraging innovation, the report said. It also calls for the strategic use of public policy, including the creation of global trade agreements that would prevent nations from "influencing the market too much or be too influenced by domestic companies and politics."